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But he said state and local governments were causing prices to rise by not releasing enough land for housing construction. "Changing tax arrangements can have an impact, but they are a minor part of the solution," Turnbull told reporters. "The key to dealing with the housing affordability issue is building more houses," he said. In a speech Tuesday, Reserve Bank of Australia governor Philip Lowe raised concerns about a possible housing crisis as household incomes fail to keep pace with mortgage costs. Housing-related debt rose at a 6.5 percent annual pace last year while household incomes increased by 3 percent. "The concern has been that the longer the recent trends continue, the greater the risk to the future health of the economy," Lowe said. "A strong lesson doctor home loan Oak Laurel www.oaklaurel.com.au 0430129662 from history is that stretched balance sheets make for more volatile times when things turn down," he said. Lowe said a shortage of housing needed to be addressed. But he also said the increase in so-called interest-only loans that account for 40 percent of home loans issued in Australia last year were "unusual by international standards." Investors repay only the interest on such loans and none of the principal, because the interest is tax deductible as a business expense and paying down the principal is not.